Rainbow Coral Corp. (OTCBB: RBCC) subsidiary Rainbow BioSciences will
keep a close eye on a new study that could potentially lead to stem cell
therapies for children with autism.

Researchers have been given the go-ahead by the FDA to launch a small
study evaluating the effectiveness of autism treatments using patients’
own umbilical cord blood. Thirty children, aged two to seven, will
receive injections of their own stem cells from the cord blood banked by
their parents at birth.

Scientists will evaluate whether the stem cell therapy helps improve
language and behavior in the children. Although the cause of autism is
unknown and there is no cure for the disorder, one theory suggests that
autism occurs because cell in the brain, known as neurons, are not
connecting normally. It’s possible that stem cells may address this
problem.

RBCC is working to capitalize on the rising demand for effective new
stem cell treatments by bringing a potentially game-changing stem cell
technology to market. The company is close to a deal with Regenetech to
acquire a license to perform cell expansion using that company’s Rotary
Cell Culture SystemTM, a rotating-wall bioreactor originally
developed by NASA.

“The rotating-wall bioreactor is capable of multiplying functional, 3-D
stem cells for use in a variety of research projects,” said RBCC CEO
Patrick Brown. “Stem cells carry tremendous potential to help
researchers develop new treatments and cures for devastating diseases
from Parkinson’s to Alzheimer’s and even autism, but much research must
be done first. Consequently, we’re very optimistic about the market
potential for this revolutionary bioreactor technology.”

RBCC plans to offer the new technology to help kickstart billions of
dollars’ worth of research in an industry currently dominated by Amgen,
Inc. (NASDAQ: AMGN), Celgene Corporation (NASDAQ: CELG), Genzyme Corp.
(NASDAQ: GENZ) and Gilead Sciences Inc. (NASDAQ: GILD).

Rainbow BioSciences, LLC, is a wholly owned subsidiary of Rainbow Coral
Corp. (OTCBB: RBCC). The company continually seeks out new partnerships
with biotechnology developers to deliver profitable new medical
technologies and innovations. For more information on our
growth-oriented business initiatives, please visit our website at [http://www.RainbowBioSciences.com].
For investment information and performance data on the company, please
visit www.RainbowBioSciences.com/investors.html.

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